Crews have started clearing the area at the intersection of Jesse Jewell and Limestone parkways for the planned New Holland Market development.

Construction for a shopping center off Limestone and Jesse Jewell parkways in Gainesville is now under way.

“Construction just started in the last week,” said Mike McNicholas, president of developer Carolina Holdings Inc. “They’ve completed the sedimentation and erosion control installation, and are preparing for the mass grading and installation of utilities.”

Plans for the New Holland Market development include 400,000 square feet of commercial space, 200,000 square feet of nearby office space and about 300 multifamily residential units. A Kroger grocery store will anchor the 68-acre development.

“The schedule has us delivering a pad to Kroger in the springtime. Then they can construct their store and open in the spring of 2014,” McNicholas said.

Gainesville officials said such a project has been much needed in the area.

“We think this will be great for the city, particularly on the east side of town, where we think there’s a lack of commercial development,” said Rusty Ligon, community development director with the city of Gainesville.

McNicholas said the Kroger will be the largest format store the company has in the Atlanta metro area.

“It’s called a Kroger Marketplace,” Ligon said. “It’s distinct from some of the others elsewhere in Gainesville. It’s a larger format store that includes more items.”

Ligon said deals with other retail and dining businesses are moving forward but not ready to be announced yet.

McNicholas has said plans include both fast-food and sit-down dining restaurants, as well as other retail shops.